New Delhi: SAIL and Indonesia-based PT Krakatau Steel will explore setting up a joint venture for manufacturing of stainless steel slabs, to support the commodity's increasing demand in India. A memorandum of understanding (MoU) to this effect was announced during high-level engagements between the two countries as part of Prime Minister Narendra Modi's visit to Indonesia from July 6-8, SAIL said in a statement on Wednesday.
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While Indonesia offers access to one of the world's richest reserves of nickel - an essential raw material for stainless steel, SAIL brings over five decades of experience in steelmaking, project execution and operating large integrated steel plants.
The MoU marks an important step in the growing industrial partnership between India and Indonesia reflecting the shared vision of both countries to build stronger and more resilient manufacturing value chains.
Further details regarding the proposed joint venture, including project capacity, investment structure, implementation schedule and technology configuration will be finalized following completion of the feasibility studies and receipt of the necessary approvals from both organizations and the respective governments, SAIL said.
"As demand for stainless steel continues to grow across sectors such as infrastructure, mobility, renewable energy and manufacturing, access to reliable raw materials and strategic partnerships becomes increasingly important. We believe this collaboration with PT Krakatau Steel has the potential to create long-term value for both companies while strengthening the economic partnership between India and Indonesia," Chairman & Managing Director, SAIL Ashok Kumar Panda, said.
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For SAIL, this initiative is not only about expanding into the stainless steel value chain but also about building resilient supply chains, enhancing resource security and supporting India's vision of becoming a globally competitive under the Atmanirbhar Bharat initiative, he added.
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